Young and healthy

This column is part of a continuing educational series about Health Care Reform from Blue Cross of Northeastern Pennsylvania.

The open enrollment period for individual health insurance coverage through the Affordable Care Act recently began for coverage effective Jan. 1. If you didn't sign up for coverage in 2014, be sure to mark Dec. 15 on your calendar. That's the last day to sign up if you want your coverage to start Jan. 1.

This open enrollment period is especially important for young adults sometimes referred to as "young invincibles" who are healthy and don't think they need health insurance. The fact is that out of more than 8 million individuals nationwide who enrolled in health insurance coverage for 2014, only about 28 percent were between the ages of 18 and 34.

There are, however, many reasons why young adults should consider signing up for health insurance coverage.

Peace of mind

Almost everyone will need health care services at some point, and without health insurance, you could be faced with paying the bill yourself.

For example, according to the federal government's website healthcare.gov, a three-day hospital stay could cost as much as $30,000. To help cover these costs, hospitalization is now one of the Essential Health Benefits that must be provided by insurance plans sold on the Health Insurance Marketplace.

You may not think you'll end up in a hospital for three days, but even something as routine as a broken leg from skiing, bicycling or playing sports could cost you $7,500 on average if you don't have health insurance, according to healthcare.gov.

Living with a chronic illness such as diabetes or asthma can also be costly. Although chronic diseases are more common among older adults, they affect people of all ages, and according to the Centers for Disease Control and Prevention, the incidence of Type 2 diabetes is increasing among young adults.

The American Diabetes Association estimates that the average annual cost of diabetes is $13,700 in medical expenses per person. Without health insurance and everyone is now guaranteed to receive coverage under the ACA regardless of medical history you may have to pay for those expenses yourself.

Remember the old saying "An ounce of prevention is worth a pound of cure?"

Preventive services such as routine physicals, immunizations and screenings are also included in coverage sold on the Health Insurance Marketplace. What's more, these preventive services are covered without additional out-of-pocket cost, such as a deductible or co-pay.

Regular health exams and tests can help identify problems before they start, and can also help find problems early, when the chances for treatment and cure are better. Depending on your age, health and family history, your health care provider may also schedule additional recommended screenings to further detect or prevent problems before they occur.

Affordability

One reason young adults often give for not purchasing health insurance is that they feel they can't afford it because of other financial burdens, such as school loans. That's understandable, considering that the Consumer Financial Protection Bureau estimates that people below the age of 40 are responsible for approximately 67 percent of the roughly $1.4 trillion Americans collectively owe on school loans.

To help address the affordability of health insurance, tax credits and cost-sharing subsidies are available through healthcare.gov that may help make premium costs more manageable or may help lower out-of-pocket expenses such as co-payments at the doctor's office or pharmacy.

Based on healthcare.gov's income ranges for 2015, a single person with an income between $11,670 and $29,175 may qualify for both lower premiums and lower out-of-pocket expenses. And a single person making up to $46,680 may still qualify for lower premiums.

Blue Cross of Northeastern Pennsylvania offers tools and information on its Health Care Reform website, bcnepa.com/reform, that provide a starting point to see if you may qualify for tax credits or subsidies. Young adults who may never have had insurance before can also visit the site to learn more about health insurance in general, how it works and what is now covered under the ACA.

Responsibility

Finally, it's important to remember that the ACA is the law, and most people are now required to have health insurance. In fact, if you don't have health insurance coverage, you may have to pay a tax penalty.

With open enrollment for 2015 underway, we encourage all young adults to consider the many good reasons for having health insurance because life is unpredictable and that $7,500 broken leg just may happen to you.

Suzanne M. Fletcher is Program Lead for Health Care Reform and Vice President of Finance and Administrative Services for Blue Cross of Northeastern Pennsylvania.